Dave & Buster’s Entertainment (NASDAQ:PLAY) Shares Gap Up Following Earnings Beat

Dave & Buster’s Entertainment Inc (NASDAQ:PLAY)’s stock price gapped up before the market opened on Tuesday after the company announced better than expected quarterly earnings. The stock had previously closed at $16.19, but opened at $18.53. Dave & Buster’s Entertainment shares last traded at $17.09, with a volume of 508,061 shares trading hands.

The restaurant operator reported $0.69 EPS for the quarter, beating the consensus estimate of $0.64 by $0.05. The company had revenue of $534.50 million for the quarter, compared to analyst estimates of $548.77 million. Dave & Buster’s Entertainment had a net margin of 3.88% and a return on equity of 44.22%. The firm’s quarterly revenue was down 10.8% compared to the same quarter last year. During the same quarter last year, the firm earned $0.88 EPS.

Analysts Set New Price Targets

Several equities research analysts recently weighed in on the company. Truist Financial dropped their target price on Dave & Buster’s Entertainment from $27.00 to $21.00 and set a “hold” rating for the company in a report on Wednesday, April 2nd. Piper Sandler lowered their price target on shares of Dave & Buster’s Entertainment from $33.00 to $22.00 and set a “neutral” rating for the company in a report on Tuesday. William Blair reissued a “market perform” rating on shares of Dave & Buster’s Entertainment in a research report on Wednesday, December 11th. Loop Capital decreased their price objective on shares of Dave & Buster’s Entertainment from $45.00 to $35.00 and set a “buy” rating on the stock in a research report on Tuesday. Finally, Gordon Haskett reiterated a “hold” rating and set a $34.00 target price (down from $40.00) on shares of Dave & Buster’s Entertainment in a report on Wednesday, December 11th. One analyst has rated the stock with a sell rating, six have given a hold rating and two have given a buy rating to the company. According to data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus target price of $35.83.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in PLAY. Parallax Volatility Advisers L.P. boosted its position in shares of Dave & Buster’s Entertainment by 9.3% during the fourth quarter. Parallax Volatility Advisers L.P. now owns 7,441 shares of the restaurant operator’s stock valued at $217,000 after purchasing an additional 632 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its stake in Dave & Buster’s Entertainment by 4.1% during the fourth quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 18,407 shares of the restaurant operator’s stock valued at $537,000 after buying an additional 728 shares during the last quarter. KBC Group NV grew its stake in shares of Dave & Buster’s Entertainment by 81.3% in the fourth quarter. KBC Group NV now owns 1,974 shares of the restaurant operator’s stock worth $58,000 after acquiring an additional 885 shares during the last quarter. Quarry LP bought a new position in shares of Dave & Buster’s Entertainment during the third quarter valued at $47,000. Finally, MetLife Investment Management LLC raised its position in shares of Dave & Buster’s Entertainment by 7.7% in the 4th quarter. MetLife Investment Management LLC now owns 20,618 shares of the restaurant operator’s stock worth $602,000 after purchasing an additional 1,479 shares during the last quarter. Hedge funds and other institutional investors own 91.45% of the company’s stock.

Dave & Buster’s Entertainment Trading Down 0.8 %

The stock’s 50 day moving average is $21.34 and its 200-day moving average is $28.94. The company has a market cap of $618.36 million, a P/E ratio of 7.95 and a beta of 1.86. The company has a current ratio of 0.29, a quick ratio of 0.19 and a debt-to-equity ratio of 6.38.

Dave & Buster’s Entertainment Company Profile

Dave & Buster's Entertainment, Inc owns and operates entertainment and dining venues for adults and families. Its venues offer a menu of entrees and appetizers, as well as a selection of non-alcoholic and alcoholic beverages; and an assortment of entertainment attractions centered on playing games and watching live sports, and other televised events.